The BPO industry is undergoing a paradigm shift as clients pivot toward technology-enabled marketplaces supporting an increasingly digitally native consumer base, with a relentless focus on customer experience and the integration of AI-enabled technologies. The industry historically was premised on labor arbitrage and cost, but today clients require best-in-class performance and differentiated value propositions, seeking integrated end-to-end partners that can deliver unified solutions across the customer interaction value chain. The market is highly fragmented, and the BPO industry has a long track record of major consolidation, which creates opportunities for providers that can offer differentiated services and command a larger share of client spend. Key industry trends include a prioritization of CX, consumer centricity and customer lifetime value, outsourcing across the operational value chain, AI to enhance service delivery, seeking integrated end-to-end partners, a bestshore flexible delivery model, data protection and security, data and analytics, integrated technology solutions for mature sectors, and solutions catered to high-growth sectors.

The company faces competition from a variety of companies operating in distinct segments of the customer lifecycle journey, including traditional BPO companies, in-house customer service departments, and entrants from communications, software, and data networking industries. The most significant competitive factors include the ability to act as partners to and extensions of clients' brands, service quality, tailored value-added service offerings, advanced technological capabilities, industry and domain expertise, understanding of the digital marketplace, diversified global delivery coverage, reliability, scalability, security, and competitive pricing. The company believes no single competitor currently offers a directly comparable end-to-end CLX solution, and its competitive strengths include differentiation as a nimble, disruptive provider, Wave iX technology solutions, being the best brand and employer in its markets, a broad set of full lifecycle digital services, and leading global delivery with significant growth in nearshore and offshore regions. The company is the largest BPO employer in Pakistan, and of its largest 25 clients, it services more than 80% of them across multiple regions.

The company generates revenue through its integrated CLX platform, which offers a comprehensive portfolio of solutions to optimize customer acquisition, engagement, expansion, and experience for clients. The Connect business lies at the core of the offerings and generates the majority of the company's revenue, delivering differentiated customer service, technical support, revenue generation, and other value-added outsourced back office services through an omni-channel CX model integrating voice, email, chat, SMS, social media, and other communication applications. The company also offers the ibex Digital suite of solutions, which works with consumer-facing businesses to build, grow, and scale technology-driven customer acquisition solutions, including digital marketing, e-commerce technology, and platform solutions. The company's contracts with clients generally take the form of a master services agreement supplemented by statements of work, and the company employs a 'land and expand' strategy to grow relationships with clients, typically launching in one center with one service and then expanding with additional services or new geographies.

The Connect business unit delivers differentiated customer service, technical support, revenue generation, and other value-added outsourced back office services, deployed through an omni-channel CX model integrating voice, email, chat, SMS, social media, and other communication applications. The company's Wave iX platform is a managed AI-powered customer experience solution set designed to help clients integrate, deploy, and manage CX-optimized AI capabilities at scale, including AI Virtual Agent solutions, real-time language translation functionality across channels, and solutions that identify customers, understand intent, and route them to the right human or AI resource. The ibex Digital suite of solutions offers digital marketing, e-commerce technology, and platform solutions, helping clients build new customer acquisition channels, increase acquired customers, and often do both at a reduced cost. The company's customer acquisition business operates three acquisition-focused Centers of Excellence based in Jamaica, Nicaragua, and Pakistan, with approximately 300 employees dedicated to customer acquisition as of June 30, 2026.

The company operates 30 delivery centers located in the United States, Philippines, Jamaica, Nicaragua, Pakistan, and Honduras, with approximately 35,000 employees across these centers as of June 30, 2026. The company's global delivery model is built on onshore (continental United States), offshore (Philippines, Pakistan, and India), and nearshore (Jamaica, Nicaragua, and Honduras) customer experience delivery centers, and includes the ability to support work-at-home capabilities in any region with internet access. As of June 30, 2026, 97% of the company's total on-site capacity resides in its offshore and nearshore geographies. The company's technology platform, Wave iX, is the current evolution of its prior WaveX technology platform and is a differentiated suite of digital and technology solutions designed to power enhanced agent interactions, exceptional client CX, and overall better performance, with a three-pronged AI strategy focused on increasing agent productivity, providing deeper customer insights, and putting AI in front of the customer journey with voice and chat bots.

During the fiscal year ended June 30, 2026, the company delivered strong financial results with broad-based growth including in its top three verticals: HealthTech, Travel, Transportation & Logistics, and Retail & E-commerce, with increases of 38.5%, 17.2%, and 14.1%, respectively, when compared to the prior year. The company experienced 17 new client wins during the current fiscal year and continued to geographically optimize its delivery centers, including the closure of two nearshore sites concurrent with the expansion into two new offshore sites, and an increase in headcount in its offshore regions by approximately 1,700 employees when compared to the prior year. The company's continued focus and investments in clients, talent, and technology resulted in revenue growth of 15.4% during the fiscal year ended June 30, 2026, while increasing its net income margin to 7.2% and delivering a consistent adjusted EBITDA margin of 12.8%, when compared to the prior year.

The company delivered revenues of $644.1 million during the fiscal year ended June 30, 2026, a 15.4% increase compared to the prior year due to growth across its key verticals and digital acquisition business. Net income during the fiscal year ended June 30, 2026 was $46.3 million, a 25.7% increase from $36.9 million during the prior year. Fully diluted earnings per share increased to $3.13 for the fiscal year ended June 30, 2026, compared to $2.36 for the prior year. The increase in net income was driven by revenue growth in the company's higher margin offshore regions resulting in improved overall operating margins, and the increase in fully diluted earnings per share was driven by higher net income during the current year and fewer diluted shares outstanding compared to the prior year.

The company's growth strategy is predicated on four growth pillars: the ability to harness innovative technology that creates increased efficiencies for its business and clients' businesses, a strong track record of delivering best-in-class operations, a high-performing company culture, and a client-devoted mentality that breeds loyalty and long-term relationships. The company's growth model is designed to deploy a 'land and expand' approach where it wins a client, outperforms, and subsequently enhances the partnership scope with these clients, and historically, its in-year new client wins have generated approximately 2.0x to 3.0x revenue in the second and third years of the engagement. The company is moving aggressively to leverage generative AI in its business, both internally and in consumer-facing interactions, and believes it is well positioned to capture an outsized share of AI-impacted future revenue, minimizing risk to its overall revenue and providing opportunities for future profitability enhancement.

The company's Wave iX technology has a three-pronged AI strategy focused on increasing agent productivity, providing deeper customer insights, and putting AI in front of the customer journey with voice and chat solutions. The company's approach of bringing a combination of its AI-enabled solutions plus a robust set of third-party AI-enabled solutions to its clients positions it to be a fast-mover in the market and capture a greater share of higher margin AI-enabled revenue work. The company also continues to expand its global delivery network, with significant investments made in the Philippines, Honduras, and Nicaragua, and it is the largest BPO employer in Pakistan, which it believes is a truly disruptive market for the industry. The company's sales and marketing teams are focused on new logos, targeting the top 40 companies in each of its key market verticals, and a digital-first team focused on penetrating a broader reach of unicorn and potential unicorn clients in the emerging technology and consumer services sector.

The company's margins are impacted by the level of capacity utilization in its facilities, and as demand for delivery locations has grown and continued to shift towards lower cost geographies, the company is in the process of building additional capacity in its offshore regions. The company continues to realize cost savings as it geographically optimizes its delivery centers in higher cost regions, and it has continued to shift towards work at home seats, which has allowed it to rationalize a number of delivery locations in higher cost regions, especially in the United States. The company has been able to offset some wage increases with higher agent quality and increased productivity, higher agent retention, and increased client prices under contractual cost of living adjustments, and its overall labor cost as a percentage of revenue is positively impacted by the shift in delivery location from onshore delivery centers to offshore centers.

The company operates 30 delivery centers with a total of 21,705 workstations as of June 30, 2026, and it expects to procure additional space in the future as it continues to add employees and expand geographically to meet the demands of the business. The company's capacity utilization remained consistent with 94% during fiscal year 2026 when compared to the prior year, and capacity utilization was over 100% in the United States as it continued to migrate towards a work at home model. As of June 30, 2026, the company had 1,655, 1,398, and 196 employees working remotely in its onshore, offshore, and nearshore regions, respectively. The company's facilities operate solely on leasehold property, with leases typically made for a fixed period of two to 15 years and may include renewal options.

The company's capital allocation strategy includes share repurchases, and on May 11, 2026, the Board authorized $20 million in share repurchases for the next twelve months under the 2026 Share Repurchase Program. The company has and expects to fund future repurchases with its existing cash balance, and the share repurchase program does not obligate the company to acquire any particular amount of common shares. The company does not currently plan to declare dividends on its common shares in the foreseeable future, intending to retain all of its future earnings, if any, to finance the growth and development of its business. The company's main financing arrangements contain certain covenants in respect of a total net leverage ratio and fixed charge coverage ratio, and restrictions on incurring additional debt and liens, making certain restricted payments and investments, engaging in certain transactions with affiliates, and disposal of assets.

The company faces headwinds from macroeconomic factors, including inflation and interest rates, global economic and geopolitical uncertainty, and changes in foreign currency exchange rates, which could impact its financial results. Some of its customers have increased their focus on cost reduction, resulting in decisions to shift work from onshore sites to offshore sites, which may impact revenues and operations in the near term. The company also faces risks related to the integration of AI and generative AI technology into its offerings, including potential automation or reduced demand for some of its more standardized or lower-complexity service offerings, and issues with data sourcing, technology integration, bias in data models, flawed or inaccurate outputs, security challenges, intellectual property, and the protection of personal information and privacy.

The company's business is heavily dependent upon its international operations, particularly in the Philippines, Jamaica, Pakistan, and Nicaragua, and any disruption to those operations would adversely affect it. The company's competitive advantage will be greatly diminished if labor costs in those jurisdictions increase or if there are failures of power grids, which are subject to frequent outages. The company also depends upon internet search engines to attract a significant portion of the consumers who visit its customer acquisition websites, and it would be negatively impacted if it is unable to advertise on search engines on a cost-effective basis. The company faces risks related to the consolidation of its clients or potential clients, which may decrease the number of clients who contract its solutions and encourage clients to apply increasing pressure to lower prices.

The company may be impacted by tax matters, new legislation, and actions by taxing authorities, and due to changes in Bermuda tax law, it will become subject to corporate income taxes in Bermuda once its revenues exceed €750 million. The company does not currently fall within the definition of a multi-national group as its annual revenues are less than €750 million for more than two of the four previous fiscal years, and therefore, the tax payable under the Bermuda CIT Act does not apply to it. However, there may be legislation passed in other jurisdictions in the future which could have implications for the company as an international company, which may increase its future global effective tax rate and have a material effect on its future financial position and results of operations.

Management's message emphasizes the company's strong financial results and broad-based growth during the fiscal year ended June 30, 2026, with revenue growth of 15.4% , net income margin increasing to 7.2% , and a consistent adjusted EBITDA margin of 12.8% . The company delivered revenues of $644.1 million during the fiscal year, a 15.4% increase compared to the prior year, and net income of $46.3 million , a 25.7% increase from $36.9 million during the prior year. Fully diluted earnings per share increased to $3.13 ⁹ for the fiscal year ended June 30, 2026, compared to $2.36 ¹⁰ for the prior year. Management highlights growth in the top three verticals: HealthTech, Travel, Transportation & Logistics, and Retail & E-commerce, with increases of 38.5% ¹¹, 17.2% ¹², and 14.1% ¹³, respectively, and 17 new client wins ¹⁴ during the current fiscal year. The company's strategic priorities include continuing to drive innovative AI solutions across its clients, geographically optimizing its delivery centers, and investing in its clients, talent, and technology.

Total revenues for the fiscal year ended June 30, 2026 were $644.1 million , compared to $558.2 million in the prior year, representing a 15.4% increase. Net income for the fiscal year ended June 30, 2026 was $46.3 million , compared to $36.9 million in the prior year, a 25.7% increase. Fully diluted earnings per share for the fiscal year ended June 30, 2026 was $3.13 , compared to $2.36 in the prior year. The company's net income margin increased to 7.2% during the fiscal year ended June 30, 2026, and adjusted EBITDA margin was 12.8% . Payroll and related costs and stock-based compensation expense across the total company, including for cost of services and selling, general and administrative expenses, accounted for $420 million , or 65% , of revenue for the fiscal year ended June 30, 2026. The company had goodwill of $11.8 million as of June 30, 2026, and did not recognize any impairment of goodwill during the three years ended June 30, 2026. As of June 30, 2026, for income tax purposes, the company had approximately $16.2 million in estimated U.S. state and international net operating loss carry forwards that will begin to expire in 2026.

The company's business is dependent on key clients, with its top three clients accounting for 24% ¹ of revenue and its top client accounting for approximately 9% ² of revenue for the fiscal year ended June 30, 2026, and the loss of business with any key client could materially impact the company. The company derived 97% ³ of its revenue from customers based in the United States during the fiscal year ended June 30, 2026, and a significant portion of its clients are concentrated in the Retail and E-commerce industry, with 25.7% ⁴ of revenue from that vertical, 17.7% ⁵ from HealthTech, 14.1% ⁶ from Travel, Transportation & Logistics, 9.2% ⁷ from Telecommunication, and 33.3% ⁸ from other verticals. The company's profitability depends on maintaining efficient asset utilization levels, and most of its client contracts do not have minimum volume requirements, with clients able to terminate for convenience or reduce use of solutions. The company faces risks related to the integration of AI into its offerings, as certain third-party AI solutions have the potential to automate or reduce demand for some of its more standardized or lower-complexity service offerings, and inadequate AI development or deployment practices could lead to unintended consequences. The company's business is heavily dependent upon its international operations, particularly in the Philippines, Jamaica, Pakistan, and Nicaragua, and any disruption to those operations, including failure of power grids subject to frequent outages, would adversely affect it.